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Download your Complimentary Digital PDF eBook: Video 30B Trader’s Equation and Probability Asset market model: views currencies as an important asset class for constructing investment portfolios. Asset prices are influenced mostly by people's willingness to hold the existing quantities of assets, which in turn depends on their expectations on the future worth of these assets. The asset market model of exchange rate determination states that “the exchange rate between two currencies represents the price that just balances the relative supplies of, and demand for, assets denominated in those currencies.”
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For an inexperienced trader, yes, it's gambling. Even experienced traders sometimes have to rely on luck, because there are so many variables at play.
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Length: 85 pages Word Wise: Enabled Enhanced Typesetting: Enabled
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